Market Prognosis

A concise summary of the major macro events of the past 24 hours, and selected UK company-specific news.

<< Back to Market PROGnosis archive

December 13, 2022

US inflation report later

Macro & Overnight

UK jobs report out this morning with encouraging signs that older workers are beginning to reenter the labour market. A critical factor for UK growth prospects.

Oil prices have traded higher.

All eyes will be on the US CPI data later today.

UK Company News

Outsourced services provider Capita saw H1 revenue growth of 2%. With disposal proceeds of £462m received, its update focused on balance sheet strength, with more disposals to come.  

Chemring, the defence contractor, produced inline FY results. FY23E guidance is unchanged, with an H2 slant.

Digital advertising company Dianomi updated revenue expectations to be in line with last year. New advertiser spending in the year’s second half has not grown as anticipated so profits will be lower than consensus, approximately half of that for the prior year. 

FinnCap, the broker, NOMAD and corporate advisor, managed an H1 reduction in fixed costs as UK equity issuance has been subdued. Revenue in H1 was down 48%. However, the company said their deal pipeline remains solid.

Corporate advisor FRP Advisory saw H1 revenue increase by 10% but lower PBT. It sees a positive medium-term outlook and reports trading in line with expectations. 

Iron deficiency therapy specialist Shield Therapeutics has signed a multi-year collaborative sales agreement with Viatris. Separately it has proposed an $18m equity raise. 

Online womenswear brand Sosandar showed a 72% increase in H1 revenue. They have since recorded record sales in October and November, with all categories selling well. Sosandar is an online retailer bucking the trend of its larger peers. Sosandar has £4m of net cash and continues to trade in line with market expectations. 

 

Prognosticator

 

 

 

On this day ...

… in 1990, South African President de Klerk met Nelson Mandela to discuss the end of apartheid in South Africa.

This communication is provided for information purposes only, and is not a solicitation or inducement to buy, sell, subscribe, or underwrite securities or units. Investors should seek advice from an Independent Financial Adviser or regulated stockbroker before making any investment decisions. Progressive Equity Research Ltd (“PERL”) does not make investment recommendations.

Opinions contained in this communication represent those of PERL and/or our affiliates at the time of publication and PERL does not undertake to provide updates to any opinions or views expressed. PERL does not hold any positions in the securities mentioned in this communication, however, PERL’s directors, officers, employees, contractors and affiliates may hold a position,  and/or may perform services or solicit business from, any of the companies or related securities mentioned.

Any prices quoted in our research are as at the previous day’s close.